Action Animate Visibility in BGE
The "Restrict Render" setting only applies to the Cycles or BI renderer, but not the OpenGL renderer (used in the viewport, and for the Game Engine).

If you want to achieve something similar, animate the "Visible" attribute instead. 



Note that this is a binary state. There's no way to fade, or gradually shift from visible to invisible. It will be totally visible one frame, and totally invisible the next frame.

If you're wanting to fade, you'll need to animate the Alpha channel instead (though there is some benefit to turning "Visibility" off, once something is totally transparent).